The Indian pharmaceutical industry has recorded a significant 10% increase in exports in FY24, reaching a total of $27.9 billion, as per data released by the Pharmaceuticals Export Promotion Council of India (Pharmexcil). This marks a robust recovery after a moderate performance in FY23, reaffirming India’s status as the “Pharmacy of the World.”
At the forefront of this resurgence is the U.S. market, which alone contributed $7.6 billion, accounting for nearly 27% of total pharma exports. The European Union followed with exports worth $4 billion, reflecting strong demand for generic formulations and critical care drugs from India.
Indian Pharma Exports FY24: Region-Wise Highlights
- United States: $7.6 billion (27% share)
- European Union: $4 billion
- Africa: $4.2 billion
- Latin America: $1.9 billion
- Southeast Asia: $1.6 billion
The growth spans across regions, with a notable 20% increase in exports to the U.S. and double-digit gains in African and Latin American markets. This reinforces India’s expanding global footprint and trust in its generic drug capabilities.
What’s Driving the Growth?
- Policy Reforms & Incentives: The Indian government has strengthened production through the PLI Scheme (Production Linked Incentive) and eased export documentation.
- Increased Global Demand: Rising chronic conditions and aging populations in Western nations have spurred demand for affordable generics.
- India’s Regulatory Strength: Over 70% of WHO GMP-approved pharmaceutical plants are based in India, ensuring global credibility.
- Supply Chain Diversification: Global pharma players are reducing reliance on China and moving sourcing to India.
Key Therapeutic Segments in Demand
- Anti-infectives
- Cardiology
- Anti-diabetics
- Oncology
- CNS (Central Nervous System)
Formulations continued to dominate exports, comprising over 73% of total shipments. This reflects India’s strength not just in APIs, but in delivering complex finished dosages.
Pharmexcil’s Future Focus
Pharmexcil Director General Udaya Bhaskar emphasized that India will soon surpass the $30 billion mark, driven by free trade agreements, growing biosimilar pipelines, and expanded market penetration in emerging economies.
With initiatives like the “Brand India Pharma” campaign and plans to boost domestic R&D, India is strategically positioned to lead the next decade of pharmaceutical supply globally.
